The Jacksons also refinanced
the home equity loan they had taken out to renovate a third house they inherited from Jacqueline's father.
Because schedule E of form 5500, the annual information return, specifically asks whether any securities acquisition loans have been refinanced
, a transaction is easily detectable.
Another frequently mentioned complaint is that consumers threaten to rescind the refinanced
loan after closing--requiring the lender to refund all fees, including fees paid to third parties for appraisals and credit reports--unless the lender negotiates a lower rate.
FHFA said in November alone, nearly 130,000 homeowners refinanced
their mortgages through HARP.
All of this can be accomplished by allowing the payment of certain taxes affecting the sale and purchase of a new home to be deferred until the home is resold or refinanced
While rising interest rates have slowed the demand for mortgage financing, clients who purchased homes or refinanced
existing mortages while interest rates were at their lowest levels in 25 years now must confront the tax consequences of their actions.
For points paid on a refinanced
mortgage, remaining points paid that have not yet been deducted may be deducted when the refinancing is completed and the old loan paid off.
Most discussions of the decision to refinance a home mortgage have concentrated on the case in which the existing principal is refinanced
but no new borrowing is undertaken.
The Federal Housing Finance Agency (FHFA) reported that nearly 99,000 homeowners refinanced
in August through the HARP program.
5 trillion in mortgages were refinanced
over the last two years, and another $1.
In the latter case, Time Equities refinanced
the loan with no reserve and without having to pledge the unsold shares as collateral for the mortgage - a loan that would have been unthinkable a few years ago.